Wedbush Forecasts 80-90% Likelihood of Tesla and SpaceX Merger Next Year

Deep News15:51

Dan Ives, Managing Director at Wedbush Securities and a technology stock bull, predicts a major consolidation within Elon Musk's corporate empire. He anticipates a highly probable merger between Tesla and the soon-to-be-public SpaceX during the first half of 2027.

In an interview with Schwab Network, Ives discussed the possibility of a merger between the two companies and outlined a potential sequence of events.

He forecasts that SpaceX's initial public offering (IPO) this summer will establish the financial groundwork for a large-scale corporate merger shortly thereafter.

"I believe these are the steps they will take," Ives stated, "culminating in a merger with Tesla... I put the probability between 80% and 90%." He indicated that this historic consolidation could likely be finalized in the first half of 2027.

While Ives views the potential merger as a logical strategic evolution for what he terms the "world's best physical AI project," other prominent investors hold contrasting opinions on the hypothetical deal.

Ross Gerber, CEO of Gerber Kawasaki Wealth Management, recently suggested that, against a backdrop of electric vehicle competition and capital expenditure adjustments, such a transaction might effectively serve as a strategic lifeline for the automaker.

"It's less of a merger and more like SpaceX rescuing Tesla through an acquisition," Gerber commented on the social media platform X.

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